The waterborne coatings market is expected to witness significant growth by 2027 owing to surging product utilization across varied applications. In addition, rising prominence of the environmental benefits of these coatings is anticipated to support market growth over the forecast period.

Recently, market participants have been focusing on product development to address environmental concerns, which has enhanced industry dynamics across the globe. For instance, in April 2020, Axalta, the American coatings specialist, broke ground of the newest phase of its plant in Jiading, Shanghai.

The new phase represented a crucial investment by Axalta towards environmentally responsible waterborne coatings in China. The phase, which was slated to become operational in 2021, was intended to support the company in meeting the mounting demand for sustainable coatings from consumers in the industrial and automotive sectors across eastern and southern China.

Moreover, industry players have been expanding their presence in emerging regions, which has improved the business landscape. To cite an instance, in September 2020, PPG, a leading company in the coatings, paints, and specialty materials space, announced that its China’s automotive refinish arm had launched a novel waterborne coating system, encompassing a primer surfacer, epoxy primer, and clearcoat. The range was designed in compliance with new environmental as well as volatile organic compound (VOC) standards, which were set to come into effect in China in December 2020.

For comprehensive assessment, the waterborne coatings market has been segregated on the basis of type, application, and region. With respect to type, the market has been categorized into polyurethane, PTFE, PVDF, alkyd, acrylic, epoxy, polyester, PVDC, and others.

The epoxy type segment and the alkyd type segment are anticipated to grow at a CAGR of over 6% through the forecast period. The PVDC type segment is estimated to progress at approximately 4% CAGR over the assessment timeframe to reach a notable valuation by 2027. The waterborne coatings market from the others type segment is speculated to expand at a CAGR of around 3.5% through the projected timeline.

In terms of application, the market has been segmented into automotive OEM, architectural, protective coating, general industrial, coil, metal packaging, marine, automotive refinish, industrial wood, and others. The automotive OEM application segment is anticipated to expand at a CAGR of about 6% over the forecast period.

The industrial wood application segment is calculated to grow at over 4.5% CAGR through the assessment timeline. The coil application segment is estimated to see significant growth at nearly 5% CAGR over the analysis timeline. The waterborne coatings market from the other application segment is expected to progress at a CAGR of over 3.5% through the projected period.

Based on region, the LATAM waterborne coatings market is projected to observe robust growth at over 6% CAGR through the forecast timeframe. The MEA waterborne coatings market is also set to amass notable revenue by 2027, expanding at a CAGR of approximately 6% over the analysis period.